Canadian REIT’s, owing to higher financial burden, are trading at a discount. As per CoSTAR, the REIT’s are trading at 20% discount to the net asset value, compared to the five-year average of a13% discount and the 10-year average of an 11% discount.

Multi-residential REITs like CAPREIT face additional issues. Despite high portfolio occupancy, rent controls and lower-yielding legacy assets have eroded their margins in a high inflationary environment. An investment thesis is currently being prepared.